I don't own any company stock, so I'm not worried about it. The market as a whole is the real question, and just wait until we have record inflation AND tanking nominal market prices at the same time. That's gonna be fun. So far inflation pain has been some what muted because the market and housing has been humming along. Once that ends the real fun begins.
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As long as they print in DC everything will become more expensive
You watching the 10 year treasuries. Not well.
Realizing I’m responding to a WF person, you may want to google it
Watch Chainsaw purchase the eff out of WFC while driving the stock down. He knows exactly what he's doing.
Banks are highly influenced by treasuries.
If youve looked lately, yields have fallen relentlessly; banks will follow.
After wells dumped a lot of their lending portfolio, the company is now VERY sensitive to yields.
Second, mortgage applications are at record lows.
And third, that CMBS exposure, which means lawsuits are coming from pension funds. Hawaii pension has already fired the first shot:
https://today.westlaw.com/Document/I9bb8af80868011ebb472b513b73176c6/View/FullText.html?transitionType=Default&contextData=(sc.Default)
I think thats the first of many...this will hit efficiency ratio. If you have read any earnings calls, investors are hoping ER goes down....this has opposite effect.
Last, management has effectively put morale in toilet. This will hurt earnings and probably increase regulatory errors and omissions which will also cause increase in ER.
I think the bank is going to retest teens and possibly single digits in next 2 quarters.
Considering Warren Buffet opted to dump so much WF stock should tell you all you need to know. Berkshire Hathaway is in it for the long game. They like stable investment options. Short term slash and burn isn’t how they do things. Way to much risk.
Uncle Warren has Charlie’s number. Charlie is all about buying low, selling high, and not leaving a pretty corpse behind. He’s going to artificially inflate the stock price with stock buy backs to increase dividends payouts to shareholders to make it appear that he’s making good on his promise to return the bank to profitability. He isn’t doing anything but moving numbers on a balance sheet to provide the illusion of progress. It’s a shell game. He’s betting on the fact no one will notice before he makes off with the purse. He has no incentive to spare anyone. We’re all collateral damage. We’re just obstacles in the way of his ultimate goal to the get off the plane with his golden parachute before the whole thing crashes into the side of a mountain.
It’s pretty obvious.
Comment Anonimously:
https://stockjury.com/WFC